Origin Agritech plans to construct a new hybrid seed production facility in the suburbs of Beijing.

Dr. Gengchen Han, chairman and CEO of Origin, commented, "One of Origin's primary strengths is a vertically-integrated business model, and our ability to control quality at all levels. This state-of-the-art Daxing facility will add capacity to our existing conditioning plant in the region, and complement our distribution and breeding operations in this territory. It will also allow Origin to meet the growing demand for hybrid seeds in central China. The Daxing facility also represents continued joint support of Origin by government entities such as the National Ministry of Agriculture and local Beijing province officials. We remain committed to delivering the most advanced products and specialized customer service to the Chinese farming community, and maintaining our leading position in the local agriculture industry."

Origin says it received grants totaling RMB8.4 million from the Ministry of Agriculture and Beijing government to establish this new facility, which is expected to be completed by the end of 2007.

Origin specializes in the research, development, production, sale and distribution of hybrid crop seeds in China. As of 2006, Origin had ten proprietary corn hybrids, six proprietary rice hybrids and two proprietary canola hybrids currently in the market.